Zooming Out: The Trade Effect of the Euro in Historical Perspective

@article{Berger2005ZoomingOT,
  title={Zooming Out: The Trade Effect of the Euro in Historical Perspective},
  author={Helge Berger and Volker Nitsch},
  journal={CESifo Working Paper Series},
  year={2005}
}
In this paper, we put the trade effect of the euro in historical perspective. Using a data set that includes 22 industrial countries from 1948 to 2003, we find strong evidence of a gradual increase in trade intensity between European countries over time. Once we control for this trend in trade integration, the euro's impact on trade disappears. Moreover, a significant part of the trend in European trade integration is associated with measurable policy changes in areas such as exchange rate… 
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